Grand endings of condemned prisoners waiting for henchmen or corrupt bankers being led to the black maria are other dramatic images that lawsuits conjure up in our minds.

Ever heard of ridiculous cases? Cases of seemingly irrational charges that often end up in favor of the case pursuant? You are about to be re-educated with the 5 mind boggling lawsuits and upon reading agree with us that protecting oneself from various business risks is a need and not a good to have.

In 2013, Benjamin Careeathers sued against Red Bull energy drink company for false claims of ‘giving wings’ to Red Bull consumers in their adverts and apparently won the case for the American citizens. A whooping sum of 13 Million USD was settled for the settlement of the little ad clause that deceived the public just for the crime of three misinterpreted words ‘Gives You Wings’.

Walking into objects is a sore accident that can cost you a good amount of money for treatment but walking, texting and bumping into an orange colored ladder in the United States can as well get you a 161,000.00 USD benefits from the jury system in the United States. Imagine the surprise of the defending company when they were ordered to pay such ridiculous amount of money to Detoya Moody in 2011 for such a claim.

Cleanthi Peters sued universal studios for 15,000.00 USD for extreme fear, mental anguish and emotional distress due to her visit to universal studios’ Halloween horror nights haunted house. Whatever she hoped to get in a Halloween haunted house?

Mcdonalds had a legal battle with 79 year old Stella Leiback for making their tea too hot and when you think you have seen it all and you are clearly heartbroken…….

Robert Lee Brock sued himself for 5 million USD for larceny, breaking and entering, getting drunk and committing other crimes which landed him 23 years sentence. He had hoped the state would have to pay since he was in their custody (in jail) and wasn’t earning any money.

In every business, there is always that tiny possibility of answering miscellaneous charges which will likely have legal fees and possible compensation for damages if the case is sustained and won. These charges can against your business can come from within and with out. and the consequences are expensive.

There are various types of corporate insurance that takes the financial responsibility of accidents/errors and resultant legal challenges that may befall companies. Some of these insurance products include professional indemnity insurance, product liability insurance, fleet insurance, workers compensation and more. Any of these challenges can send a company to the brink of bankruptcy.

Insuring assets and potential liabilities are decisions made by well advised business owners who understand the importance of managing various risks. You can never be too prepared for accidental happenstance. One might be tempted to self-insure (saving little amount of money daily or weekly for accidents) but the figures needed to provide adequate coverage is in certain cases, way above the capacity most small businesses and in relative contrast, Insurance premiums are way cheaper to maintain.

In every business, there is always the most productive employee that pilots the business affairs, the person whose exit will shake the business to its core foundation……. That person is the business’ KEYMAN.

Most people are familiar with life insurance policy and how it compensates the insured family in the case of demise. However, not so much is known about the Keyman insurance policy that keeps business running in event of loss of the business propeller, the key employee.

Keyman insurance helps a business recover from the loss of her front man. Individual talents in businesses varies and so does their input and output which when converted to relevance, makes certain persons the rear head of the firm after the business owner. Every business has a number of people who contribute significantly to the running and growth of the company. Its only sensible to insure against untimely demise of such individuals to keep the business from total shut down when such key employee is no more.

Keyman Insurance is an insurance policy where the premium payer is the employer, the life to be insured is that of the employer’s most valuable employee (keyman) and the benefit, in the case of claims, goes to the employer to use in keeping the business running and operational in event of the demise of the insured employee.

There are numerous benefits of insuring a company’s keyman and as far as the list goes, no single reason is less beneficial in the insurance chain. The advantages can not be emphasized and the absence of it can have fatal consequences.

Keyman insurance protects businesses against financial shutdown in event of unfortunate death of the key person.

The directors can also safeguard their immediate family from getting affected by the various business cycles the business has to encounter.

Such heightened sense of importance will boost the morale of the insured employee which will readily convert to higher productivity and helps secure his stay in the company.

It helps in keeping the price of the company’s shares stable in case of death of the keyman. If investors are assured that any financial loss from change of management as a result of the death of their usual go-to person, they wont have to start discharging their shares immediately after the death of such person.

It places a high value to a keyman insured company. In the case of a business that is being put up for sale, prospective buyers are more likely to put a higher value to the company if they know that it has a monetary back up to meet the replacement of its key employee.

When a company purchases a life insurance policy on the key employee, pays the premiums and have the benefitting rights to that policy, when the insured key person dies, the company receives the insurance pay off. The reason this insurance is of utmost importance is because the death of a key person in a small company often causes the immediate death of the company. The basic reason for the key man policy is to help the company survive the tragedy of loosing the person who pilots the business. The company can use the proceeds for expenses until it can find a replacement or in some dire situations, gives the company some options other than outright bankruptcy.